Last updated on April 18, 2014 at 0:14 EDT

ICL’S Negotiations Regarding Dead Sea Salt Harvesting to Accelerate

September 12, 2011

TEL-AVIV, Israel, September 12, 2011 /PRNewswire/ –

– Government and ICL Controlling Shareholder, Israel Corp,
Agree to Accelerate Negotiations

ICL (TASE:ICL), a multinational fertilizer and specialty chemicals
company, yesterday announced the resumption and acceleration of its
negotiations with Israel’s Ministry of Finance regarding a comprehensive
solution to outstanding issues surrounding the harvest of salt from the
Company’s Dead Sea Works’ Pond 5.

During a meeting held on September 8 between Mr. Yuval Steinitz,
Israel’s Finance Minister, and Mr. Amir Elstein, Chairman of the Board of
Israel Corp., ICL’s controlling shareholder, the parties agreed to resume
and accelerate the negotiations.

Commenting on the meeting, Mr. Dani Chen, President & CEO of ICL
Fertilizers and Dead Sea Works stated, “ICL welcomes the resumption of
negotiations with the government. We are confident that we can reach an
agreement that will include Dead Sea Works’ share of the costs required to
harvest the salt at Pond 5. ICL shares the Finance Minister’s opinion that
an equitable solution must reflect the public interest while also
recognizing the importance and significant contribution of Dead Sea Works to
the revenues of the State and Israel’s population in the South, as well as
ICL’s contribution to the value of long-term investments and pensions held
by the Israeli public. It is important to bear in mind that most of the
equity of the company is held either directly or indirectly by the general

Mr. Chen added, “We are interested in reaching an agreement with the
government that resolves the Dead Sea issue. From the outset, Dead Sea Works
has supported the salt harvest solution from among the alternatives
proposed. While we agree that this project must be undertaken as soon as
possible, it is important to remember that the harvest will occur in a pond
that was built by Dead Sea Works approximately 60 years ago and which now
serves as a coast for the hotels located in the vicinity of the Dead Sea.
Dead Sea Works’ activities at the Dead Sea represent a significant portion
of industrial activity in the Negev. We trust that the Government will act
responsibly by advancing the project for the benefit of all parties
concerned, and look forward to a successful conclusion of the negotiations.”

About ICL

ICL is one of the world’s leading fertilizer and specialty chemicals
companies. For a world challenged by population growth and scarce resources,
ICL makes products that increase global food and water supplies and improve
industrial materials and processes.

ICL produces approximately a third of the world’s bromine and is the 6th
largest potash producer in the world. ICL is a leading supplier of
fertilizers in Europe and a major player in specialty fertilizer market
segments. One of the world’s most integrated manufacturers and suppliers of
phosphate products, ICL has become the world’s leading provider of pure
phosphoric acid and a major specialty phosphate player.

ICL is comprised of three core segments: ICL Fertilizers, ICL Industrial
Products and ICL Performance Products. Its major production activities are
located in Israel, Europe, the US, South America and China, and are
supported by major global marketing and logistics networks. ICL benefits
from exclusive concessions to extract minerals from Israel’s Dead Sea, a
vast source of high-quality and low-cost potash, bromine, magnesium chloride
and sodium chloride. ICL also mines phosphate rock from Israel’s Negev
Desert and potash and salt from its mines in Spain and the UK.

ICL’s shares are traded on the Tel Aviv Stock Exchange (TASE: ICL).

Forward Looking Statement

This press release contains forward-looking assessments and judgments
regarding macro-economic conditions and the Group’s markets, and there is no
certainty as to whether, when and/or at what rate these projections will
materialize. Management’s projections are likely to change in light of
market fluctuations, especially in ICL’s manufacturing locations and target
markets. In addition, ICL is likely to be affected by changes in the demand
and price environment for its products as well as the cost of shipping and
energy, whether caused by actions of governments, manufacturers or
consumers. ICL can also be affected by changes in the capital markets,
including fluctuations in currency exchange rates, credit availability,
interest rates, etc.

        Fleisher Communications and Public Relations
        Amiram Fleisher


Source: PR Newswire